1. Technical Field
The present invention relates, generally, to methods of administering employee funds and transactions and, more particularly, to a personal financial service provider system which allows comprehensive administration of employee accounts.
2. Background
Although credit unions, banks, and the like often provide members with loan services and the ability to schedule automated payments—sometimes with on-line access—the traditional credit union does not have access to the funds prior to being deposited in the member's credit/savings account, and is therefore limited with respect to the services it can ultimately provide. As a result, such banks and credit units are unsatisfactory to a number of users. For example, there remains a large group of “self-banked” individuals who use non-traditional banking outlets for managing funds, i.e., check-cashing facilities and the like. In addition, many white-collar workers desire more sophisticated methods for accessing and investing their funds, and many blue-collar workers desire access to credit facilities with lower costs.
In order to simplify management of certain employee-related functions, many employers are turning to Professional Employer Organizations (PEO). In general, a PEO is a company that provides integrated business services designed to cost-effectively manage critical human resource responsibilities and employer risks for its clients. PEOs deliver these services by establishing and maintaining an employer relationship with employees assigned to their clients by contractually assuming substantial employer rights, responsibilities, and risks.
Traditional PEOs receive gross payroll (and fees) from the worksite employer and, after paying taxes, withholding, and the like, provide the net payroll amount to the worksite employer's employees. Known PEO systems, while providing useful services to its contracting employers, have nevertheless failed to address the needs of the employees with which it interfaces.
Systems are therefore needed for overcoming the limitations of the prior art. More particularly, a system is needed which can provide certain services to worksite employers while leveraging its position vis-a-vis the employer to provide key financial services desired by those employees.